The Market and Marketing of Verizon Business - Research Proposal Example

 Primary Research Project Problem Definition Verizon works in a highly competitive environment which other major telecom carriers. It offers products and services with in all the relevant sectors, such as, landlines, mobile communications, wireless, broadband and DSL/ Internet however, as we learned from the New York times that recently, Verizon’s total number of local phone lines in service has fallen from 8% to 42.32 million, in the latest quarter. Verizon continues to suffer from declines in usage of traditional phone service as people rely more on cell phones and the internet. Losses may also stem in part from price pressures arising from triple play offers, which typically offer discounts for carrying multiple subscriptions, or lack of consumer knowledge of the company’s products and services. On the other hand, Verizon wireless had a net gain of $1.8 billion retail subscribers and customer growth from the first and second quarter. In order to have a better understanding of where Verizon is perceived in the market, there will be two areas which will be covered for this purpose of the research. Research will be focusing on the non-Verizon customer, for a greater depth in understanding the reasons why Verizon is not attracting them. This report will mainly focus on two areas which Verizon should improve: The main reason why Verizon’s customer base has been decreasing and well as taking their Verizon because it needs to focus most of its attention to the wireless affiliate because that’s what is giving Verizon a competitive advantage. Verizon will have to create something new for the phone company and to do so they might have to increase the expenses a little to be more technologically advanced. However, their net income would increase and they would get more customers. As the Mintel report depicts that Verizon and Sprint both show higher-than-average shares of those who earn above $100k, Verizon and Alltel (not shown) are the only Top Five brands to have an above-average share of white customers and below-average share of all minority subscribers. Therefore in the light of all these developments Verizons’s market strategy should be to include; A focus on reasons why it is not capturing the subscription base of other ethnicity groups rather than mainly higher income and white respondents. They should also focus of what will attract other race or ethnicity groups to become part of their customer base. A review of the advertising practices and strategies in this regard The relevant price and discount strategies .Currently Verizon has an average share of those customers who earn above $100 k per annum Research Objectives Main Objectives: The purpose of this study is to find out the critical reason why Verizon is losing its market share. This study have been conducted for the purpose of understanding the market strategies of other telecom providers and to investigate reasons for diminishing customer base and strategies to attract new customers. There also needs to be an inquiry into how the present customer base can be successfully retained , in a more profitable context. Research Objectives for non –Verizon Wireless customers! This section will mainly focus on the consumer trends of all ethnicities with an income over 100k per annum. To determine whether the buyers’ behavior towards Verizon has been affected by Verizon’s CDMA network service providers. To identify if more Verizon Retail Outlets were available, this would affect the consumer behavior in choosing Verizon. To assess whether more varieties of mobile phones made available with Verizon packages would it affect consumer behavior in choosing Verizon over other service carriers. To determine marketing strategy to attract more ethnicities towards Verizon sales with strategic marketing and advertising. Research objectives for non Verizon wired line: The survey would consist of a series of questions that help us understand the current issues that Verizon has. One of the questions that I would ask would be if the person was aware that Verizon offered services in their area. This question serves basically for two purposes. One of the most common problems is the lack of knowledge a consumer may have of any product or services that a company offers. If the person is not aware of Verizon offering services in their area, Verizon could then work on a marketing strategy to gain greater market exposure. Verizon would then be able to determine if they had a competitive advantage of establishing services in that city. If the person is aware of Verizon offering services, the caller would then be prompted to the next question. Why did you not choose Verizon as your primary landline services company? The objective of this question basically helps Verizon understand why consumers are not sticking to their services. Let’s say the issue is price and that Verizon’s services are more expensive than its competitors. Verizon then needs to come up with a new marketing strategy to justify their high prices. For example, everyone knows Rolls Royce is an expensive car, but no one complains that they are too expensive to purchase. Their price is justified by their craftsmanship, their luxury concierge services; this is what the consumer is paying for. Verizon needs to offer something special so that the customer feels “special” for paying higher prices. It needs to differentiate itself from its competitors. Therefore in the light of the above the main objectives will be: To determine if they had a competitive advantage of establishing services in that city. To determine why consumers are not using their services. To identify the cause of consumers’ choice and decisions when choosing network providers for their home. Data Collection Methodology The instruments for this study include a Web-based survey, mail survey; telephone interview and mall intercept interviews survey. For Verizon wireless we will conduct a survey through web-based and mall panel. We need to specifically attract respondents of other ethnicities and with an income level below $100k. We will obtain a pool of telephone numbers from people across the nation and conduct phone interviews with non Verizon customers.. We would focus on major metropolitan cities to get a better understanding of Verizon’s demographic base. The survey would consist of a series of questions that help us understand the current issues that Verizon land line is suffering from . However, since most people like to hear from telemarketers, we would also conduct an online survey with the same questions and also give the receivers some sort of incentive, for example, a $5 or more gift card from Verizon, Best Buy, Vons supermarket, (any company that has some alliance with Verizon would be preferential). This same incentive can be offered to those who complete the written survey. Mail panels and internet based surveys are relatively inexpensive and easier to administer. They allow the respondents to fill them out at their own convenience. Although, the main disadvantage for mail panel surveys is time, we are confident of our incentive offers and that the customers need to pay their monthly bills anyway. Therefore, this will greatly impact the response rate of the survey. Sample Plan The purposes of this report, is to explore consumer choice of and attitudes towards mobile phone services. Interests of the non-Verizon subscribers. Questionnaire Name Address Phone Number Wireless Carrier How much do you spend on your wireless bills per month? Sex: Female Male Age Group Under 18 18-25 26-36 37-47 48-58 and over Marital Status Single Married Income  Number living in home How long have you been with your service providers?  How would you rate it?  Do you have a land line at home? No  If yes, please provides the name of service provider: Reasons you are with your service provider: If you could design a new features about your wireless carrier what would it be? (Things that is realistic) Read More